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Neo
As for family, I buy gifts for my parents and siblings, and get something small for any extended family members under 18. We used to trade gifts among all the aunts and cousins and whatnot, but decided to chip in $20 each to go to a charity instead.
Last year each of us contributed money to buy a water buffalo at Heifer.com. No one missed the gift exchange, no one exceeded their budgets, and it really simplified Christmas for all of us. Best of all, we were able to give to those less fortunate. We've decided to make charitible giving a Christmas tradition.